DJ PRECIOUS METALS: NY Gold Seen Down $7, Silver Down 6 Cents
February gold futures are expected to open floor trading in New York around
$7 an ounce lower Tuesday, based on electronic activity ahead of the pit
session at the Comex division of the New York Mercantile Exchange. March silver
is expected to be down 6 cents an ounce.
Spot gold fell overnight on profit-taking despite the softer U.S. dollar,
London-based traders said. Trading may be choppy for the rest of the day, with
low liquidity during another holiday week, they added.
At 7:54 a.m., EST, spot gold was trading down $10.35 to $868.80.
In other markets that have the potential to impact metals in the short term,
the euro is up to $1.4141 from $1.3926 late Monday afternoon. In screen trading
ahead of the pit open, the March S&P 500 futures are up 4.60 points to 874.60.
February crude oil is down 63 cents to $39.39 a barrel in overnight activity.
The market will get several reports Tuesday that will offer further clues on
the U.S. economy. They include the October Case-Shiller Home Price Index at 9
a.m., EST (1400 GMT), the December Chicago Purchasing Managers Index at 9:45
a.m., EST (1445 GMT), and the Conference Board's consumer-confidence index at
10 a.m., EST (1500 GM). Confidence is forecast to uptick to 45.8 from 44.9 in
November.
In New York Monday, gold futures gained with oil on the back of the current
Middle East conflict in Gaza, but the metal pared those gains as crude eased,
the U.S. dollar came off lows and participants booked profits as the year draws
to a close. February gold rose $4.10 to settle at $875.30, while March silver
rose 28 cents, or more than 2.6%, to settle at $10.81.
Comex gold warehouse stocks were up 20,000 ounces at 8,560,002 ounces Monday,
while silver stocks were up 545,705 ounces at 127,260,631 ounces.
-By Allen Sykora, Dow Jones Newswires; 541-318-8765;
allen.sykora@dowjones.com
